Exit Strategies

[BBand]

Hi Whitta,

Here's something else for you to consider, I sometimes use it myself

If my trade shows a good profit, i.e.has been trending well, I will check out the next major timeframe above - and if it looks promising - I switch my management to the higher timeframe.

This keeps you in the trade longer and gives the possibility of a higher return, this works well in a strong trending market

(I assume that you are a discrectionary trader)

Hi Edge,
I think Whittas entry was a "pin" type entry - which is quite commonly used in the FX - i.e. small body, large tail, open/close within the spread of the last bar - entry when price breaks the pin " nose"

 

[tech/a]

Another way to do it is have partial exits.
Using the SPI fpor example have 3 contracts sell 1or 2 let the others go.
But I would strongly suggest looking into VSA to add to your arsenal.

 

[skyQuake]

When your palms start sweating and you scream out at the unfairness of it all, with the agony overwhelming your entire being; then you go on ASF and commiserate with the others 'investors' and post all sorts of bullish things to cheer yourself up. :

 

[MRC & Co]

When your palms start sweating and you scream out at the unfairness of it all, with the agony overwhelming your entire beingp:

DE JA VU?

You just gave me it, of................EVERYDAY!!!!!!

I will FIND YOU.............

 

[kam75]

I exit on:

1. A Time Stop - when my trade fails to be in profit after a pre-planned amount of time.
2. Breakout on poor Volume.
3. Break of support.
4. Anytime my stoploss is hit!

regards

 

[wildthing]

Chorlton, I think WildThing is referring to a trailing stop method that Daryl Guppy writes about in one of his books. (WildThing pls correct me if i'm wrong??)

It's a trend following stop that is recalculated each time the price makes a new high in a trend.

I don't think a CBL stop would have made for a better exit in this case, tho' (see below).

Hi Guys,
Just got back from hols up in whitsundays.
Yes u are correct...its the Darryl Guppy idea for trailing stop.....covered in his book trend trading.
The CBL needs a CLOSE below the CBL BEFORE being activated....so do not think it would have been triggered as u suggest.....so would have been still in the trade.
But I am still learning so dont biff me if I am wrong.
Cheers,